Key Highlights
- Exodus narrowed its adjusted EBITDA loss to $3.9 million from $6.7 million in the prior quarter.
- The company ended the quarter with 214 employees and is targeting approximately $30 million in combined annual cost reductions by 2027.
- Payments now generate about one-third of revenue, as Exodus shifts beyond its historically wallet-led business model.
Exodus Narrows Losses as Payments Business Expands
Exodus continued to reduce its losses as it reshaped the business around stablecoin payments and card issuance. Adjusted EBITDA came in at a loss of $3.9 million, improving from a $6.7 million loss in the prior quarter.
The company also reduced its workforce significantly. Exodus ended the quarter with 214 employees, down from 326 after it absorbed its two payments acquisitions. The company is targeting approximately $30 million in combined annual cost reductions heading into 2027.
Layoffs Follow Payments Acquisitions
Exodus began its latest cost-cutting effort on July 17, 2026, when it announced plans to eliminate about 25% of its global workforce. The reduction affected roughly 77 employees and contractors.
The company estimated that the workforce reduction would result in pre-tax charges of $2.5 million to $3.5 million. In return, Exodus expects annualized cash operating expense savings of $10 million to $13 million, with the full benefit expected to appear in 2027.
The layoffs followed Exodus’s acquisition of Monavate and Baanx in May 2026. The two payments infrastructure providers cost approximately $76 million combined and gave Exodus the ability to issue cards and process payments directly.
Exodus’s stated goal is to build a full-stack stablecoin payments and card-issuance platform. That strategy would allow the company to control more of the path between a user’s cryptocurrency balance and the point of purchase.
Why Wall Street Remains Positive on Exodus
StoneX analyst Mark Palmer maintained a Buy rating and a $12 price target on Exodus stock after the results. His investment case is based on payments growth and lower operating costs offsetting weakness in the company’s wallet business and moving Exodus closer to adjusted breakeven.
“The cost reset is real,” Palmer wrote.
Palmer acknowledged that wallet transaction volumes remain subdued. His outlook depends less on a recovery in the wallet business and more on Exodus reducing its reliance on that business as payments become a larger source of revenue.
That shift is significant because crypto swap fees have historically accounted for about 90% of Exodus revenue. The company’s results were therefore closely tied to how often retail users traded digital assets. Payments now account for about one-third of revenue, marking a meaningful change in the company’s revenue mix.
What Exodus Investors Should Watch
Exodus’s transformation carries clear execution risks. The company spent approximately $76 million on acquisitions and then cut roughly one-quarter of its staff while its core wallet business slowed.
The next indicators will include whether payments volume continues rising from approximately $1.1 billion, whether the adjusted EBITDA loss keeps narrowing from $3.9 million, and whether Exodus delivers the $10 million to $13 million in promised annualized savings in 2027.
Why This Matters
Exodus is attempting to become less dependent on retail crypto trading by expanding into payments infrastructure and card issuance. The strategy could make revenue less sensitive to wallet swap activity, but it also requires the company to integrate its acquisitions, manage a smaller workforce and deliver the projected cost savings.
The results show both sides of that transition: adjusted EBITDA losses narrowed, while wallet transaction volumes remained weak. The balance between growing payments revenue and controlling costs will be central to Exodus’s progress toward adjusted breakeven.
Frequently Asked Questions
What was Exodus’s adjusted EBITDA loss?
Exodus reported an adjusted EBITDA loss of $3.9 million, compared with a $6.7 million loss in the prior quarter.
How many employees does Exodus have?
Exodus ended the quarter with 214 employees, down from 326 after the company absorbed its two payments acquisitions.
What is Exodus’s new business strategy?
Exodus is building a full-stack stablecoin payments and card-issuance platform through its acquisitions of Monavate and Baanx, aiming to reduce its reliance on crypto wallet swap fees.
